Gujarat High Court Allows Appeal of Minor Injured in Motor Accident — Compensation Enhanced from Rs. 17,52,000/- to Rs. 23,88,000/-. Notional income of minor assessed at Rs. 15,000/- per month with 40% future prospects and 67.53% permanent partial disability.

High Court: Gujarat High Court In Favour of Accused
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Case Note & Summary

The case involves an appeal by the original claimant, a minor injured in a motor accident, against the judgment and award dated 15.03.2022 passed by the Motor Accident Claims Tribunal (Main), Kachchh at Bhuj in MAC Petition No.101 of 2016. The minor, Ikbal Salim Kevar, aged about 10 years, was standing by the side of the road on 23.02.2016 when a Bolero vehicle (Reg. No. GJ-12-AV-5859) driven rashly and negligently hit him, causing permanent partial disablement. The claimant, through his natural guardian and father, filed a claim petition seeking compensation. The Tribunal partly allowed the claim, awarding Rs. 17,52,000/- with 7.5% interest. The appellant challenged the award on the grounds that the Tribunal erred in assessing the notional income at Rs. 10,000/- per month instead of Rs. 20,000/-, and failed to appreciate that the 67.53% disability resulted in 100% reduction in working capability. The appellant also contended that the amounts awarded under other heads were meager. The respondent insurance company opposed the appeal, arguing that the Tribunal had properly appreciated the evidence. The High Court, after hearing both sides, enhanced the notional income to Rs. 15,000/- per month, applied 40% future prospects, and used a multiplier of 18. The court assessed functional disability at 67.53% and calculated loss of future income as Rs. 15,000 x 12 x 18 x 67.53% = Rs. 21,88,000/- (rounded off). The court also enhanced compensation for pain, shock and suffering from Rs. 50,000/- to Rs. 1,00,000/-, for attendant charges from Rs. 25,000/- to Rs. 50,000/-, and awarded Rs. 25,000/- for loss of amenities and Rs. 25,000/- for special diet and transportation. The total compensation was enhanced to Rs. 23,88,000/- with 7.5% interest per annum from the date of petition till realization. The appeal was allowed accordingly.

Headnote

A) Motor Accident Compensation - Minor Injured - Notional Income - Permanent Partial Disability - The court considered the case of a minor claimant who suffered 67.53% permanent partial disability due to a motor accident. The Tribunal had assessed notional income at Rs. 10,000/- per month and applied 40% future prospects. The High Court enhanced the notional income to Rs. 15,000/- per month based on the principle that a minor's earning capacity should be assessed reasonably, and applied 40% future prospects. The court also considered the functional disability and awarded compensation under various heads including pain, shock and suffering, and attendant charges. (Paras 1-16)

B) Motor Accident Compensation - Heads of Compensation - Pain and Suffering - Attendant Charges - The court enhanced compensation for pain, shock and suffering from Rs. 50,000/- to Rs. 1,00,000/-, and for attendant charges from Rs. 25,000/- to Rs. 50,000/-, considering the nature of injuries and permanent disability. The court also awarded Rs. 25,000/- for loss of amenities and Rs. 25,000/- for special diet and transportation. (Paras 12-15)

C) Motor Accident Compensation - Multiplier for Minor - The court applied a multiplier of 18 as per the age of the minor (10 years) following the principles in Sarla Verma v. DTC. (Para 11)

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Issue of Consideration

Whether the compensation awarded by the Tribunal to a minor injured with permanent partial disability is just and proper, and whether the notional income and disability assessment require enhancement.

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Final Decision

The appeal is allowed. The judgment and award dated 15.03.2022 passed by the Motor Accident Claims Tribunal (Main), Kachchh at Bhuj in MAC Petition No.101 of 2016 is modified. The appellant-claimant is entitled to total compensation of Rs. 23,88,000/- with interest at 7.5% per annum from the date of petition till realization. The respondent insurance company is directed to deposit the enhanced amount with accrued interest within eight weeks.

Law Points

  • Notional income for minor injured
  • permanent partial disability assessment
  • multiplier for minor
  • compensation under Motor Vehicles Act
  • 1988
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Case Details

2026:GUJHC:16818

R/First Appeal No. 4444 of 2022

2026-03-03

Hasmukh D. Suthar

2026:GUJHC:16818

Mr. Minhaj M Shaikh for the Appellant, Mr. Dakshesh Mehta and Mr. Rushang D Mehta for the Respondent No. 2

Ikbal Salim Kevar

Jusab Aladina Bambha & Anr.

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Nature of Litigation

Appeal under Section 173 of the Motor Vehicles Act, 1988 against the judgment and award of the Motor Accident Claims Tribunal.

Remedy Sought

Enhancement of compensation awarded by the Tribunal for injuries sustained in a motor accident.

Filing Reason

The claimant, a minor, was hit by a Bolero vehicle while standing by the roadside, resulting in permanent partial disablement. The Tribunal awarded Rs. 17,52,000/- which the claimant found inadequate.

Previous Decisions

The Motor Accident Claims Tribunal (Main), Kachchh at Bhuj partly allowed MAC Petition No.101 of 2016 on 15.03.2022, awarding Rs. 17,52,000/- with 7.5% interest.

Issues

Whether the notional income of the minor claimant should be enhanced from Rs. 10,000/- to Rs. 20,000/- per month? Whether the functional disability should be considered as 100% instead of 67.53%? Whether the compensation under other heads such as pain, shock and suffering, attendant charges, etc. should be enhanced?

Submissions/Arguments

Appellant argued that the Tribunal erred in assessing income at Rs. 10,000/- and should have taken Rs. 20,000/-; that 67.53% disability resulted in 100% loss of working capability; and that amounts under other heads were meager. Respondent insurance company argued that the Tribunal properly appreciated evidence and the award was just and proper.

Ratio Decidendi

For a minor injured with permanent partial disability, notional income should be assessed reasonably, and future prospects should be added. The functional disability percentage as per medical evidence should be used for calculating loss of future income. Compensation under conventional heads should be adequate considering the nature of injuries.

Judgment Excerpts

This appeal under Section 173 of the Motor Vehicles Act, 1988 has been preferred by the appellant–original claimant, against the judgment and award dated 15.03.2022 passed by the learned Motor Accident Claims Tribunal (Main), Kachchh at Bhuj in MAC Petition No.101 of 2016. The court assessed functional disability at 67.53% and calculated loss of future income as Rs. 15,000 x 12 x 18 x 67.53% = Rs. 21,88,000/- (rounded off).

Procedural History

The claimant filed MAC Petition No.101 of 2016 before the Motor Accident Claims Tribunal (Main), Kachchh at Bhuj, which was partly allowed on 15.03.2022. Aggrieved, the claimant filed the present First Appeal No. 4444 of 2022 under Section 173 of the Motor Vehicles Act, 1988 before the High Court of Gujarat at Ahmedabad.

Acts & Sections

  • Motor Vehicles Act, 1988: 173
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High Court Gujarat High Court Allows Appeal of Minor Injured in Motor Accident — Compensation Enhanced from Rs. 17,52,000/- to Rs. 23,88,000/-. Notional income of minor assessed at Rs. 15,000/- per month with 40% future prospects and 67.53% permanent partial ...